Markets pull off biggest weekly gain in four months

Mumbai: Stocks came up with their best weekly gain since October as the benchmark Sensex shook off its early losses and ended the day higher by 60 points on the back of some fag-end buying in auto and banking sectors.

For the week, the Sensex soared 723.03 points, or 3.14 percent, and Nifty 229.80 points, or 3.29 per cent. Europe was on mend, which gave investors some confidence. The start of the 30-share Sensex was shaky, mainly because of renewed worries of oversupply in crude oil.

But higher buying activity and covering-up of short positions ensured no further damage is done as the Sensex closed at 23,709.15, up 59.93 points, or 0.25 percent.

The NSE Nifty went past the 7,200-mark in a volatile trade. At the close, it was higher by 19 points, or 0.26 percent, at 7,210.75.

"Markets closed on a strong note extending yesterday's gain on the back of firm global peers. Renewed buying interest by foreign portfolio investors after a long time and recovery in global commodity prices boosted sentiment," said Gaurav Jain, Director, Hem Securities.

Investors were seen building their positions in nticipation of reforms announcement in the upcoming Budget, which will be presented on February 29.

However, higher levels could not be maintained as participants locked in gains. The Sensex had gained 457.25 points in the previous two sessions.